"This Riverside Plaza will also become part of a much more expanded neighborhood that'll be woven back together with Augsburg, the University and downtown," he said.

Rybak says the improvements are long overdue.

"Dramatically upgrading the energy systems to make them more efficient and effective, the elevators, some of the common areas, but also the security improvements like lighting the sidewalks and signage and using some of the safe zone strategies we've used to make downtown safer," he said.

Construction begins in January and is expected to take two years.

The city's agreement with complex owner George Sherman includes hiring up to 90 residents of the neighborhood for the work. Riverside Plaza houses one of the largest Somali populations in the country.